System integration

In very broad terms, system integration is the process of connecting different sub-systems (components) into a single larger system that functions as one. With regard to software solutions, system integration is typically defined as the process of linking together various IT systems, services and/or software to enable all of them to work functionally together. The main reason for organizations to use system integration is their need to improve the productivity and the quality of their operations. The goal is to get the organization's various IT systems to “talk to each other” through the integration, to speed up information flows and reduce operational costs for the organization. But system integration is not used only to connect an organization’s internal systems but also to third parties that the organization operates with. Now that we have an understanding of what system integration is, let’s take a look at the different types and methods of integration you can come across and leverage.

THE MOST COMMON TYPES OF SYSTEM INTEGRATION
There are a lot of different system integration types can be found, but the most common are the following:
DATA INTEGRATION
Data integration is the process of gathering data from disparate sources (e.g., services, platforms, and databases) together to provide businesses with a centralized access point making data more available and easy to process/consume by systems and their users.

BUSINESS-TO-BUSINESS INTEGRATION
As the name suggests, this type of integration enables companies to automate business communication and processes with all stakeholders to exchange vital for their business data more efficiently. So, with the B2B integration, organizations facilitate real-time data exchange with their business partners. However, there are a number of B2B integration challenges companies need to overcome before they establish a seamless integration with business partners.

LEGACY SYSTEM INTEGRATION
Legacy system integration implies connectivity between outdated legacy systems (still vital for core business) with more modern IT infrastructure to ensure seamless communication between the components and avoid disrupting a company's day-to-day workflow. If you are interested in learning more about Legacy System Integration, we suggest you to read our blog on this topic.

ELECTRONIC DOCUMENT INTERCHANGE
Electronic Data Interchange (EDI) is the system-to-system exchange of business documents in a standard electronic format between business partners intended to replace paper-based documents. Hence, this type of integration is vital for companies looking to enable paper-based business transactions to save time and avoid costly errors resulting from manual processing. Please check out our article on "What is Electronic Data Interchange" to learn more about the benefits and drawbacks it has.